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    rob2741's Avatar
    rob2741 Posts: 3, Reputation: 1
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    #1

    Jan 13, 2008, 12:01 PM
    Dealing with consolidation
    Why do consolidated financial statements become increasingly important when the purchase differential is very large
    delite's Avatar
    delite Posts: 202, Reputation: 3
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    #2

    Jan 19, 2008, 12:11 AM
    Quote Originally Posted by rob2741
    Why do consolidated financial statements become increasingly important when the purchase differential is very large
    When a parent company has equity ownership in a company, financial and tax regulations- dictate how to report such equity- a related company, for example ownership of 80% or more of another corp, requires the parent to file a consolidated tax return with its subsidiary. As the percentage drops, various rules dictate how to report equity in an affiliate.
    taxgirlintheusa's Avatar
    taxgirlintheusa Posts: 1, Reputation: 1
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    #3

    Jul 26, 2008, 02:40 PM
    Comment on delite's post
    Not thorough enough
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